Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he will take to take to support remote rural businesses in 2023 to help assist those organisations with financial planning for 2024.
Answered by Kevin Hollinrake - Minister of State (Department for Business and Trade)
At the Autumn Statement, my Rt. Hon. Friend Mr Chancellor of the Exchequer announced £13.6 billion of support for businesses over the next five years, reducing the burden of business rates for SMEs.
The Government is providing a range of support to help small and medium-sized businesses across the UK with rising costs, including those in rural communities. Government has cut fuel duty for 12 months, raised the Employment Allowance to £5,000, and is zero-rating VAT on energy-saving materials.
The ‘Help to Grow’ schemes help SME businesses learn new skills, reach more customers and boost profits. The Energy Bill Relief Scheme (EBRS) provides a price reduction to ensure that all businesses and other non-domestic customers are protected from high energy bills.
Furthermore, the British Business Bank’s Northern Powerhouse Investment Fund, Midlands Engine Investment Fund and Cornwall and Isles of Scilly Investment Fund all work with Local Enterprise Partnerships (LEPs), combined authorities and Growth Hubs, as well as local accountants, fund managers and banks, to provide a mixture of debt and equity capital to SMEs across their entire regions, including in rural locations.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the positive merits of thermal storage technologies; and if he will bring forward (a) legislative proposals and (b) associated policies to support them.
Answered by Graham Stuart
As set out in the Heat and Buildings Strategy, flexible use of energy, including through the use of thermal storage, can help create a cost-effective, efficient and secure energy system.
The Government is supporting the development of novel thermal storage technologies through the Net Zero Innovation Programme, the Energy Entrepreneurs Fund, the long duration energy storage competition and at universities through research council funding; for example, through the “Heat Pump Fully Integrated with Thermochemical Store” innovation work at the University of Warwick. This will help inform future policy on such technologies.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the UK's ability to harness its renewable energy production through the use of (a) smart thermal storage heaters, (b) batteries, and (c) other existing energy storage technologies.
Answered by Graham Stuart
The Government published analysis which examined future requirements of flexible low carbon technologies including electricity storage and flexible heating alongside the joint BEIS and Ofgem Smart Systems and Flexibility Plan 2021 (https://www.gov.uk/government/publications/transitioning-to-a-net-zero-energy-system-smart-systems-and-flexibility-plan-2021). Additionally, as part of our response to the Call for Evidence on Large Scale Long Duration Electricity Storage from Aug 2022, the Government published external analysis (https://www.gov.uk/government/publications/benefits-of-long-duration-electricity-storage) the role that long-duration electricity storage could play in the system.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will make an assessment of the potential impact of the energy price cap on (a) cost incentives and (b) carbon emissions arising from the use of storage heaters.
Answered by Graham Stuart
The Energy Price Guarantee scheme, which the Government implemented on the 1st October, reduces the cost of electricity and gas meaning that consumers can expect to pay well below the price cap figure of £3,549 for a typical dual fuel household.
The EPG does not incentivise increased energy use. Even with the EPG in place energy prices remain significantly above historic levels, incentivising consumers to use energy prudently. The Department will closely monitor the impact of prices on consumption over the months ahead and is actively considering how storage heaters are affected by the guarantee.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will make it his policy for Ofgem to undertake a review of off-peak tariff pricing, in the context of the potential merits of that pricing for (a) existing customers and (b) emerging flexible electricity markets.
Answered by Graham Stuart
As set out in the 2021 Smart Systems and Flexibility Plan, the Government is working with Ofgem and industry to support the increased provision of “smart” tariffs that reward consumers for changing their pattern of consumption to benefit the electricity system. We will set out next steps on the future of the retail market in due course.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what recent assessment he has made of the potential impact of energy storage on (a) decarbonising the energy system and (b) helping to ensure security of energy supply.
Answered by Graham Stuart
The Government published analysis which examined future requirements of flexible low carbon technologies including electricity storage, alongside the joint BEIS and Ofgem Smart Systems and Flexibility Plan 2021.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will take steps to help support the development of thermal storage technologies, in the context of (a) the electrification of heat in buildings and (b) the rollout of (i) heat pumps and (ii) electric vehicles.
Answered by Graham Stuart
The Government supports the development of novel thermal storage technologies through initiatives such as the Net Zero Innovation Programme, the Energy Entrepreneurs Fund and the long duration energy storage competition. In addition, research council funding for universities has enabled innovative work such as the “Heat Pump Fully Integrated with Thermochemical Store” at the University of Warwick.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will make an assessment of the potential impact of the Energy Price Guarantee on the level of storage capacity in the national grid.
Answered by Graham Stuart
The Government has not made an assessment of whether the Energy Price Guarantee will impact electricity storage on the grid.
The Government is facilitating the deployment of electricity storage at all scales through the joint 2021 BEIS and Ofgem Smart Systems and Flexibility Plan.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential effect on investment in the north west of a commitment to develop a hydrogen village in that region.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
The Government is supporting industry to deliver community trials of 100% hydrogen heating. BEIS and Ofgem received Gas Distribution Network Operators’ outline proposals for the village trial in December 2021. The Government expects that one or more of these will be selected to be developed into detailed proposals. The final decision on where the village trial will take place is expected in 2023 ahead of a trial start date of 2025.
Asked by: Esther McVey (Conservative - Tatton)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made of the environmental benefits of remote working.
Answered by Paul Scully
Assessing the environmental benefits of remote working is complex. Account needs to be taken of issues beyond commuter transport – for instance, the energy efficiency of our housing compared with that of commercial buildings and the increase in local travel which home-working can bring. Overall, the evidence on the net environmental benefits is mixed.
The policy opportunities associated with homeworking from a climate perspective are more likely to concern how we promote low carbon actions and behaviours when people are working from home, rather than simply asking people to work remotely.